Lesson 14 - Production And Efficiency Flashcards
1
Q
What is productivity?
A
Output per unit of input
2
Q
What is specialisation?
A
Where a firm, region or country concentrates on a particular product or task
3
Q
Give an example of specialisation
A
KFC specialises on fried food
4
Q
What is the division of labour?
A
Breaking down the parts of manufacturing process into separate tasks
5
Q
Give an example of the division of labour
A
Henry ford - the first production line (model T Ford)
6
Q
What are the advantages of the division of labour?
A
- increased productivity
- workers become more efficient, since they are good at what they do
- save time and money going from task to task, and training
7
Q
What are the disadvantages of the division of labour?
A
- monotonous job may leave workers unmotivated
- changing jobs may be difficult if you become to specialised
- high labour turnover if bored staff leave
8
Q
What are the 2 types of trade?
A
- domestic (products exchanged within a country)
- international (products are exchanged across borders)
9
Q
What is barter?
A
Exchanging goods without using money as a medium
10
Q
What are the benefits of specialisation?
A
- can be more competitive
- can improve productivity
- can improve the quality of products
11
Q
What are the risks of specialisation?
A
- all eggs in one basket
- changes in taste may reduce demand
- may be difficult to specialise in new areas
